You might have been hearing about a rising problem for electric and hybrid cars... I'm talking about battery fires.

The Power Gauge Perspective on Jeep's Battery Fires By Vic Lederman, editorial director, Chaikin Analytics You might have been hearing about a rising problem for electric and hybrid cars... I'm talking about battery fires. Specifically, the lithium-ion batteries in these vehicles are inherently fragile. And when they go wrong... they go seriously wrong. That's because lithium can spontaneously combust in open air. And it reacts violently with water. Worse still, the smoke these fires produce is toxic. That means trying to put out a lithium-battery fire can be a disaster. And we're increasingly seeing that in the news... In July, a truck carrying lithium batteries crashed on Interstate 15 in California during the rush-hour commute. If it hadn't been for the batteries, authorities might have cleared the crash quickly. Instead, it devolved into what one person described as a "traffic apocalypse from hell." And it was a long one, too... It took crews 44 hours to reopen the road. But that's just one example. There have already been numerous lithium fires on our roads this year. And many of them have been equally serious. Back in May in Arizona, a Waymo electric vehicle ("EV") caught fire. It took the response and effort of more than 50 firefighters to solve the problem. After a week, they finally declared the fire was fully extinguished. If it sounds crazy... that's because it is. But this is the reality facing automakers as they try to transition to EV manufacturing. Now Stellantis (STLA), which owns the famed Jeep brand, is in the crosshairs. So amid this new development, let's see what the Power Gauge has to say about it... Recommended Links: 'I Haven't Been This Worried Since 2007' If the recent run-up in stocks following the Federal Reserve's historic rate cut has you feeling bullish... you're likely falling into a massive and dangerous trap. According to Altimetry founder Joel Litman, the situation is far worse than almost anyone realizes... yet, it's the perfect time for ONE strategy – completely outside of stocks – that almost nobody knows about. Click here for full details, before they go offline. Financial Nightmare Coming After Election In 2018, one independent research firm predicted Kamala Harris was on her way to becoming the president of the United States. "Frankly, she scares us to death... and she should scare you," they wrote. This is why you need to check out their newest prediction immediately. Folks, we're in a crazy news cycle right now. So you might have missed this story earlier this week. But Stellantis is facing a major hurdle. Tens of thousands of its plug-in hybrid vehicles have a potential fire risk. As the company said in a press release on Monday...   A routine company review of customer data led to an internal investigation that discovered 13 fires. All vehicles were parked and turned off. As a result, Stellantis is recalling nearly 200,000 of its Jeep Wrangler and Jeep Grand Cherokee vehicles. It's a disaster for consumers. The company is effectively telling owners that the vehicles are useless until they're fixed. As it noted in the press release...   Owners are advised to refrain from recharging. Out of an abundance of caution, the company is also advising owners of these vehicles to park away from structures or other vehicles until the remedy is obtained. This is obviously bad for Stellantis. But the Power Gauge spotted something wrong with the company months ago. Take a look... As you can see, the Power Gauge was mostly "bullish" on Stellantis as the stock soared last year. But just after the peak this past March, our system flipped to "neutral." You can also see that Stellantis has remained in "neutral" or worse territory since then. And take a look at the first panel below the chart... It shows the stock's relative strength versus the S&P 500 Index. You'll notice that the flip to "neutral" happened around when Stellantis' relative strength collapsed. Put simply, one glance at the Power Gauge made it clear that something had changed. Our system started flashing caution for Stellantis months ago. And it's still cautious on the stock today. Worse still, the automotive industry group is weak as a whole in the Power Gauge. So yes, recalls and fires aren't unique to Stellantis. But looking at the whole picture right now, I would recommend avoiding this stock. Good investing, Vic Lederman Market View Major Indexes and Notable Sectors     # Hld:     Bullish     Neutral     Bearish Dow 30 +0.1% 10 18 2 S&P 500 +0.04% 155 287 54 Nasdaq +0.14% 20 60 20 Small Caps -0.14% 522 1020 378 Bonds -0.84% Energy +1.04% 1 15 6 — According to the Chaikin Power Bar, Large Cap stocks and Small Cap stocks are Bullish. Major indexes are mixed. *  *  *  * Sector Tracker Sector movement over the last 5 days Energy +4.1% Utilities +1.61% Communication +1.37% Industrials +0.96% Financial +0.71% Materials +0.68% Health Care +0.2% Staples -0.8% Discretionary -0.91% Real Estate -0.96% Information Technology -1.05% *  *  *  * Industry Focus Biotech Services 41 73 19 Over the past 6 months, the Biotech subsector (XBI) has underperformed the S&P 500 by -4.51%. However, its Power Bar ratio, which measures future potential, is Strong, with more Bullish than Bearish stocks. It is currently ranked #12 of 21 subsectors and has moved up 1 slot over the past week. Top Stocks EXEL Exelixis, Inc. BCRX BioCryst Pharmaceuti CPRX Catalyst Pharmaceuti *  *  *  * Top Movers Gainers CZR +5.27% SMCI +3.58% CRM +3.18% KLAC +3.14% IVZ +3.07% Losers HUM -11.79% CAG -8.07% NKE -6.77% KMX -3.51% TSLA -3.49% *  *  *  * Earnings Report Reporting Today Rating Before Open After Close STZ No earnings reporting today. Earnings Surprises RPM RPM International Inc. Q1 $1.84 Beat by $0.10 CAG Conagra Brands, Inc. Q1 $0.53 Missed by $-0.07 *  *  *  * You have received this e-mail as part of your subscription to PowerFeed. If you no longer want to receive e-mails from PowerFeed, click here. You're receiving this e-mail at indra21poetra@gmail.com. For questions about your account or to speak with customer service, call +1 (877) 697-6783 (U.S.), 9 a.m. - 5 p.m. Eastern time or e-mail info@chaikinanalytics.com. Please note: The law prohibits us from giving personalized investment advice. © 2024 Chaikin Analytics, LLC. All rights reserved. Any reproduction, copying, or redistribution, in whole or in part, is prohibited without written permission from Chaikin Analytics, LLC. 201 King Of Prussia Rd., Suite 650, Radnor, PA 19087. www.chaikinanalytics.com. Any brokers mentioned constitute a partial list of available brokers and is for your information only. 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